Payment transaction using mobile phone as relay

ABSTRACT

Systems and methods of conducting a payment transaction using a mobile phone as a relay. The systems and methods receive transaction information associated with a transaction at a mobile communication device from a merchant. They send the transaction information with the mobile communication device to an issuer associated with the mobile communication device. The issuer thereafter sends an authorization response message to the merchant.

CROSS-REFERENCES TO RELATED APPLICATIONS

This patent application claims priority to U.S. Provisional ApplicationNo. 60/982,682 filed Oct. 25, 2007, entitled “Mobile Phone PaymentSystem and Method,” which is hereby incorporated by reference in itsentirety for all purposes.

BACKGROUND

Identity theft and identity fraud have become increasingly seriousproblem as devices for engaging in financial transactions have increasedin number. These fraudulent activities have become very costly toconsumers, merchants, financial institutions, and others.

Prior systems provide various fraud deterrent techniques. For example,some systems ensure that payment devices are only used by authorizedcardholders. As another example, some systems encrypt communicationswith identity information.

These fraud deterrent systems can still be improved. For example,consumers in prior systems typically provide their identity informationto the merchant at a point-of sale terminal to authenticate themselves.The identity information is typically forwarded through a series ofentities to authorize and process the transaction. At any point alongthis line of communication, identity information can be stolen or usedfraudulently. For example, a wireless transmitter can be implanted in apoint of sale terminal that records PINs and account numbers, and sendsthem back to an identity thief to be used fraudulently.

Embodiments of this disclosure address these and other problems.

SUMMARY

Embodiments of the invention relate to methods and systems forconducting payment transactions using a mobile communication device(e.g., mobile phone) as a relay.

An embodiment of the disclosure is directed to a method that receivestransaction information associated with a transaction at a mobilecommunication device from a merchant. The method also sends thetransaction information with the mobile communication device to anissuer associated with the mobile communication device. The issuerthereafter sends an authorization response message to the merchant.

Another embodiment is directed to a computer readable medium having codefor receiving transaction information associated with a transaction at amobile communication device from a merchant. The computer readablemedium also has code for sending the transaction information with themobile communication device to an issuer associated with the mobilecommunication device. The issuer thereafter sends an authorizationresponse message to the merchant. Another embodiment is directed to aserver computer having the above-described computer readable medium.

Another embodiment is directed to a phone having a computer readablemedium comprising code for receiving transaction information associatedwith a transaction from a merchant and code for sending the transactioninformation to an issuer associated with the mobile communicationdevice. The issuer thereafter sends an authorization response message tothe merchant. The phone also has a processor in communication with thecomputer readable medium.

Another embodiment is directed to a method that receives transactioninformation associated with a transaction from a mobile communicationdevice wherein mobile communication device receives the transactioninformation from a merchant. The method also sends the transactioninformation to an issuer associated with the mobile communicationdevice, wherein the issuer thereafter sends an authorization responsemessage to the merchant.

Another embodiment is directed to a computer readable medium comprisingcode for receiving transaction information associated with a transactionfrom a mobile communication device, wherein the mobile communicationdevice received the transaction information from a merchant. Thecomputer readable medium also has code for sending the transactioninformation to an issuer associated with the mobile communicationdevice, wherein the issuer thereafter sends an authorization responsemessage to the merchant. Another embodiment is directed to a servercomputer having the above-described computer readable medium.

These and other embodiments of the invention are described in furtherdetail below.

BRIEF DESCRIPTION OF THE DRAWINGS

FIG. 1 is a block diagram of an exemplary system for conducting apayment transaction using a mobile phone as a relay, in accordance withan embodiment of the disclosure.

FIG. 2 is a schematic drawing of an exemplary mobile communicationdevice in the form of a mobile phone, in accordance with an embodimentof the disclosure.

FIG. 3 is a block diagram of the basic components that may reside in anexemplary access device, in accordance with an embodiment of thedisclosure.

FIG. 4 is a flowchart illustrating a method of processing a paymenttransaction using a mobile communication device as a relay, inaccordance with an embodiment of the disclosure.

FIG. 5A is an illustration depicting an exemplary display on an accessdevice at merchant, in accordance with an embodiment of the disclosure.

FIG. 5B is an illustration depicting an exemplary display on a mobilecommunication device, in accordance with an embodiment of thedisclosure.

FIG. 6 shows a block diagram of subsystems that may be present incomputer apparatuses that are used in system, according to embodimentsof the invention.

DETAILED DESCRIPTION

Embodiments of the invention are directed to a method and a system forconducting payment transactions using a mobile phone or other mobilecommunication device as a relay. In some embodiments, a consumer selectsitems for a purchase at a merchant. The merchant enters informationabout the items into an access device (e.g., a point-of-sale terminal).The merchant sends the transaction information to consumer's mobilecommunication device (e.g., mobile phone). The mobile communicationdevice relays the transaction information to the issuer of a consumer'saccount for authorization. The issuer sends a message authorizing thetransaction to the merchant to complete the transaction.

Certain embodiments of the invention may provide one or more advantagesto consumers, merchants, issuers, and others. An advantage to a consumeris that his identification information is more secure. Since theconsumer can communicate the transaction and identification informationdirectly to the payment processing network through his mobilecommunication device, the access device (e.g., point of sale terminal)no longer requires the identification information to conduct thetransaction. Thus, the consumer does not need to provide hisidentification information to the access device, which eliminates theproblem of identity theft at the access device. In many cases, identitytheft can occur when the access device is located at a fraudulentmerchant or when the access device itself is unauthorized, because itwas placed at a legitimate merchant by an unauthorized person. Further,a direct line of communication from the consumer to the paymentprocessing network is easier to protect and thus more secure. Forexample, the mobile communication device can include a secure chip withencryption software. Since the payment processing network communicatesdirectly with the mobile communication device, the payment processingnetwork can provide frequent and timely updates of encryption softwareto the mobile communication device. Thus, the consumer's identityinformation is more secure in this system.

Another advantage to a consumer is that the consumer has more controlover his identity information and over the transaction in general. Inprior systems, the consumer had to provide his identity information(e.g., a PAN or personal account number) to the access device (e.g., thepoint of sale terminal) in order to conduct a transaction. In thissystem, the mobile communication device has much of the functionality ofan access device. The mobile communication device can be used toinitiate, authorize, and/or terminate the transaction. Since theconsumer is in control of the mobile communication device, the consumerdecides when to conduct the transaction and to whom he will provide hisidentity information. Thus, control of the transaction and identityinformation is given back to the consumer.

An advantage to merchants and issuers is that these methods and systemsare easier to secure and can prevent monetary losses due to identitytheft. As discussed above, these systems are inherently more secure andthus should reduce fraud and money lost to fraud. Further, the issuercan save money by concentrating their fraud deterrent efforts onprotecting information communicated between the payment processingnetwork and the mobile communication device.

An advantage to the payment processing network is that the network canmore easily secure the communications to the consumer. As discussedabove, the mobile communication device can include a secure chip withencryption software which is frequently updated by the paymentprocessing network. Also, the encryption algorithms can be more complexsince communications are not sent through a series of other entities.

Another advantage to the payment processing network is that the paymentprocessing network can develop a more sophisticated transaction processsince it has a more detailed account of the transaction. The mobilecommunication device can receive greater detail about the transactionand relay it to the payment processing network. With increasedinformation, the payment processing network has the opportunity todevelop new and more sophisticated techniques of processingtransactions.

Certain embodiments of the invention may include none, some, or all ofthe above technical advantages. One or more other technical advantagesmay be readily apparent to one skilled in the art from the figures,descriptions, and claims included herein.

I. Exemplary System with Mobile Phone as a Relay

FIG. 1 is a block diagram of an exemplary system 10 for conducting apayment transaction using a mobile phone as a relay, in accordance withan embodiment of the disclosure. System 10 includes a consumer 20 inoperative communication with a mobile communication device 30 (e.g. amobile phone). System 10 also includes a merchant 40 having an accessdevice 42 (e.g., a point-of-sale terminal) with a display 44. Mobilecommunication device 30 is also in communication with merchant 40 toreceive transaction information from the access device 42. System 10also includes an acquirer 50 (e.g., a bank) associated with merchant 40.

System 10 also includes a payment processing network 60 having a servercomputer 60(a) with a computer readable medium 60(b) and a database60(c) in communication with the server computer 60(a). System 10 alsoincludes an issuer 70 having an account with consumer 20. Issuer 70 hasa server computer 70(a) with a CRM 70(b) and a database 70(c)communicating with server computer 70(a). Issuer 70 is in communicationwith payment processing network 60. Acquirer 50 is in communication withpayment processing network 60 and merchant 50 to receive authorizationfor the transaction and forward it to merchant 40. In system 10, mobilecommunication device 30 is also in direct communication with paymentprocessing network 60 in order to send transaction information and otherinformation to payment processing network 60 and issuer 70.

As used herein, “transaction information” can refer to any suitableinformation related to the transaction. Some examples of suitableinformation include a list of the items in the transaction, adescription of the items, item identifiers (e.g., stock keeping units orSKUs), the merchant ID, access device ID (e.g., POS terminal ID), pricesof the items being purchased, the total number of items, the totalamount of the transaction, electronic signature from merchant 40, atransaction code, and other suitable information related to thetransaction. A transaction code is associated with a specifictransaction and an be used to identify other transaction information.For example, the transaction code can be used to link the transactioninformation from the mobile communication device 30 to the paymentinformation (e.g., a BIN) from the mobile communication device 30 tocomplete the transaction.

Consumer 20 may be an individual, or an organization such as a businessthat is capable of using mobile communication device 30 to conduct atransaction such as a purchase of goods and/or services. Consumer 20 hasan account with issuer 70 that is associated with mobile communicationdevice 30.

Mobile communication device 30 refers to any suitable wireless devicethat allows consumer 20 to conduct transactions with merchant 40 andcommunicate information with other entities such as payment processingnetwork 60. Some examples of suitable devices include cellular orwireless phones, personal digital assistants (PDAs), pagers, portablecomputers, and the like. Suitable mobile communication devices can behand-held and compact so that they can fit into a consumer's walletand/or pocket (e.g., pocket-sized).

Mobile communication device 30 communicates information to other systementities in any suitable form. Some examples of suitable forms include ashort message service (SMS) message such as a text message, a multimediamedia message (MMS), a phone call, a voice message, a voicemail message,an instant messaging (IM) message, an email message, etc. In some cases,the system entity receiving the message (e.g., payment processingnetwork 60) may require a PIN before authorizing the transmission forsecurity purposes. Consumer 20 enters the PIN into mobile communicatingdevice 30 or other device communicating with the entity. The PIN is thensent to the entity. Once the entity verifies the PIN, the requestingentity will authorize the transmission of the message. For example, tosend a SMS message to payment processing network 60, payment processingnetwork 60 may request a PIN, receive and verify a valid PIN beforeallowing transmission of the SMS message.

In some embodiments, mobile communication device 30 may includespecialized software to allow it to interact directly other systementities. For example, mobile communication device 30 may includetranslation software that translates transaction information receivedfrom access device 42 into a form that can be understood, processed, andtransmitted by payment processing network 60.

In embodiments of the invention, an issuer may be associated with themobile communication device in any suitable manner. For example, theissuer may have an account that is linked to the phone number in themobile communication device. In another example, the issuer may have avirtual payment card that is stored on the mobile communication device.

Merchant 40 refers to any suitable entity that conducts transactionswith consumer 20 using mobile communication device 30. Some examples ofmerchants 40 include a department store, a gas station, a drug store, agrocery store, or other suitable business. Merchant 40 may use anysuitable method to conduct the transaction. For example, merchant 40 mayuse an e-commerce business to allow the transaction to be conducted bymerchant 40 through the Internet.

Access device 42 refers to any suitable device for communicating withmerchant 40 and for interacting with mobile communication device 30and/or a payment card. Examples of suitable devices include point ofsale (POS) devices, cellular phones, PDAs, personal computers (PCs),tablet PCs, handheld specialized readers, set-top boxes, electronic cashregisters (ECRs), automated teller machines (ATMs), virtual cashregisters (VCRs), kiosks, security systems, access systems, and thelike. Access device 42 may use any suitable contact or contactless modeof operation to communicate data to and from mobile communication device30. For example, access device 42 can use a wireless communication modeincluding near field communication such as Bluetooth, infrared, etc.

Acquirer 50 refers to any suitable entity that has an account withmerchant 40. For example, acquirer 50 may be a bank that operates a bankaccount for merchant 40.

The payment processing network 60 may include data processingsubsystems, networks, and operations used to support and deliverauthorization services, exception file services, and clearing andsettlement services. An exemplary payment processing network 60 mayinclude VisaNet™. Payment processing networks such as VisaNet™ are ableto process credit card transactions, debit card transactions, and othertypes of commercial transactions. VisaNet™, in particular, includes aVIP system (Visa Integrated Payments system) which processesauthorization requests and a Base II system which performs clearing andsettlement services.

Payment processing network 60 includes a server computer 60(a). Servercomputer 60(a) refers to a powerful computer or cluster of computers.For example, the server computer 60(a) can be a large mainframe, aminicomputer cluster, or a group of servers functioning as a unit. Inone example, server computer 60(a) may be a database server coupled to aWeb server (not shown). Payment processing network 60 may use anysuitable wired or wireless network, including the Internet.

Server computer 60(a) includes a computer readable medium (CRM) 60(b).CRM 60(b) comprises code for performing the functions of server computer60(a). Server computer 60(a) may also include a processor (not shown).In some embodiments, the computer readable medium 60(b) may comprisecode for receiving transaction information associated with a transactionfrom a mobile communication device, wherein the mobile communicationdevice received the transaction information from a merchant; and codefor sending the transaction information to an issuer associated with themobile communication device.

Payment processing network 60 also includes a database 60(c) coupled tothe server computer 60(a). Database 60(c) refers to any hardware,software, firmware, or combination of the preceding for storing andfacilitating retrieval of information. Database 60(c) may use any of avariety of data structures, arrangements, and compilations to store andfacilitate retrieval of information. Database 60(c) may store anysuitable data. In one embodiment, database 60(c) includes data thatlinks information associated with the mobile communication device 30(e.g., phone number) to account numbers and other information ofconsumer 20. Database 60(c) also includes data that links consumer data(e.g., account numbers) to issuers 70.

Issuer 70 refers to any suitable entity that can approve a transaction,and may optionally open and maintain an account associated with consumer20. Some examples of issuers may be a bank, a business entity such as aretail store, or a governmental entity. In many cases, issuer 70 mayalso issue a payment card to consumer 20. In some embodiments, issuer 70may also be the acquirer 50.

Issuer 70 includes a server computer 70(a). Server computer 70(a) refersto a powerful computer or cluster of computers. For example, servercomputer 70(a) can be a large mainframe, a minicomputer cluster, or agroup of servers functioning as a unit. In one example, server computer70(a) may be a database server coupled to a Web server (not shown).Server computer 70(a) includes a computer readable medium (CRM) 70(b).CRM 70(b) comprises code for performing the functions of server computer70(a). Server computer 70(a) may also include a processor (not shown).

Issuer 70 also includes a database 70(c) coupled to the server computer70(a). Database 70(c) refers to any hardware, software, firmware, orcombination of the preceding for storing and facilitating retrieval ofinformation. Database 70(c) may use any of a variety of data structures,arrangements, and compilations to store and facilitate retrieval ofinformation. Database 70(c) may store any suitable data. Issuer 70 mayuse any suitable wired or wireless network, including the Internet.

In a typical purchase transaction, consumer 20 selects items (e.g.,products and/or services) to purchase from merchant 40. A list of theitems in the transaction, the total amount of the transaction, and amerchant ID along with other transaction information is shown on display44 of access device 42.

Consumer 20 initiates the transaction. For example, consumer 20 canrequest that merchant 40 process the transaction and merchant 40 can inresponse activate access device 42 to initiate the transaction. Asanother example, consumer 20 may interact his mobile communicationdevice 30 with access device 42 at merchant 40 to initiate thetransaction.

Once the transaction is initiated, access device 42 sends thetransaction information to mobile communication device 30 using acontactless or contact-based mode. In some cases, mobile communicationdevice 30 may need to translate the transaction information into a formthat is compatible for use by payment processing network 60.

Mobile communication device 30 relays the transaction information alongwith other information (e.g., a phone number) associated with the mobilecommunication 30 to server computer 60(a) of payment processing network60. In some cases, server computer 60(a) of payment processing network60 will not receive the transmission of information until the consumer20 sends a PIN and the PIN is verified. Server computer 60(a) uses thePIN to authenticate the consumer 20.

Server computer 60(a) of payment processing network 60 processes theinformation received from mobile communication device 30. For example,server computer 60(a) processes the information to determine an accountnumber and issuer associated with consumer 20. For example, servercomputer 60(a) in payment processing network 60 retrieves data fromdatabase 60(c) that links the information associated with the mobilecommunication device 30 (e.g., phone number) to the account number andother consumer information. Server computer 60(a) uses this data todetermine the consumer information (e.g., account number) from the phonenumber. Server computer 60(a) also retrieves data from database 60(c)that links the consumer data such as account number to the issuer 70.Server computer 60(a) uses this data to determine the issuer 70associated with the consumer 20.

In other embodiments, the consumer information such as the accountnumber can be stored on mobile communication device 30. In theseembodiments, mobile communication device 30 relays the consumerinformation with the account number to the server computer 60(a) ofpayment processing network 60. In other embodiments, mobilecommunication device 30 relays one or more account numbers and otherinformation of consumer 20 to server computer 60(a) of paymentprocessing network 60.

The payment processing network now has information about the consumer 20holding the mobile communication device 30, the issuer 70 having anaccount associated with the mobile communication device 30, the merchant50 based on the merchant ID or access device ID, and the transaction.Server computer 60(a) sends the information in an authorization requestmessage to issuer 70. Issuer 70 processes the authorization requestmessage and determines whether to authorize or decline the transaction.

Once issuer 70 decides whether to authorize or decline the transaction,issuer 70 sends an authorization response message to server computer60(a) indicating that the transaction is authorized (or is declined).The issuer 70 may decline the transaction for a variety of reasons(e.g., insufficient funds, risky transaction, etc.). Server computer60(a) sends the authorization response message to acquirer 50. Acquirer50 forwards the authorization response message to merchant 40. Aftermerchant 40 receives the authorization response message, access device42 at merchant 40 may provide the authorization response message toconsumer 20. The authorization response message may be displayed ondisplay 44 of access device 42 or may be printed on a receipt. In somecases, server computer 60(a) of payment processing network 60 sends theauthorization response message directly to consumer 20. For example, theauthorization response message may be sent from the payment processingnetwork 60 directly to the mobile communication device 30 without beingsent through the acquirer 50.

In some cases, payment processing network 60 can authorize thetransaction on behalf of issuer 70. In these cases, server computer60(a) of payment processing network 60 processes the informationreceived from mobile communication device 30. After processing, servercomputer 60(a) of payment processing network 60 has information aboutthe consumer 20 holding the mobile communication device 30, the issuer70 having an account associated with the mobile communication device 30,the merchant 50 based on the merchant ID or access device ID, and thetransaction. With this information, server computer 60(a) can determinewhether to authorize or decline the transaction on behalf of the issuer70. Server computer 60(a) sends an authorization response message toacquirer 50. Acquirer 50 forwards the authorization response message tomerchant 40 which forward it to consumer 20. Server computer 60(a) mayalso send a message to issuer 70 indicating that the transaction hasbeen authorized on their behalf and including other suitable informationrequired by the issuer 70 to process the transaction.

At the end of the day, a normal clearing and settlement process can beconducted. A clearing process is a process of exchanging financialdetails between merchant 40 and issuer 70 to facilitate posting to aconsumer's account and reconciliation of the consumer's settlementposition. Clearing and settlement can occur simultaneously.

In another embodiment, mobile communication device 30 relays thetransaction information and information associated with the mobilecommunication device 30 directly to the issuer 70. The information maybe sent in any suitable form such as an authorization request message.In this embodiment, the issuer 70 determines whether to authorize ordecline the transaction based on the information received from mobilecommunication device 30. If the issuer 70 requires more information fromconsumer 20 to decide whether to authorize or decline, issuer 70 maysend a request message for more information to consumer 20 throughmobile communication device 30. Once issuer 70 decides whether toauthorize or decline the transaction, issuer 70 sends an authorizationrequest message to consumer 30 or to merchant 40 through acquirer 50.

In yet another embodiment, server computer 60(a) of payment processingnetwork 60 may send the authorization response message directly to themobile communication device 30 operated by the consumer 20 instead of tothe merchant's access device 42. The consumer 20 can provide theauthorization response message to the access device 42 to merchant 40using the mobile communication device 30. For example, consumer 20 maycause the mobile communication device 30 to pass by a contactless readerof access device 42 so that the access device 42 can read theauthorization response message from mobile communication device 30.

In one embodiment, merchant 40 may be an ecommerce business that sellsits products and/or services on a website. The website is provided by aserver computer operated by merchant 40 or another entity on behalf ofmerchant 40. Consumer 20 select items on the website for purchase. Onceconsumer 20 selects the items, transaction information such as atransaction amount and transaction code is provided to consumer 20.Consumer 20 enters the transaction information into the mobilecommunication device 30. Consumer 20 uses the mobile communicationdevice 30 to relay the transaction information and payment informationin a message to the payment processing network 60. Merchant 40 sends thetransaction information in a message to payment processing network 60.Payment processing network 60 matches the message from the merchant 40to the message from the mobile communication device 30 using thetransaction information (e.g., a transaction code). Payment processingnetwork 60 processes the transaction based on the transactioninformation from the merchant 40 and the payment information from theconsumer 30. In this embodiment, merchant 40 does not receive paymentinformation of consumer 20.

In one embodiment, consumer 20 can also request emergency cards frompayment processing network 60 using their mobile communication device30. For example, consumer 20 may have lost their payment card. Consumer20 can use their mobile communication device 30 to send a message with arequest for a replacement card to server computer 60(a) of paymentprocessing network 60 to forward to issuer 70 or send a message with therequest directly to issuer 70. In response, a replacement card or newaccount information may be sent to mobile communication device 30 or areplacement card may be mailed to consumer 20.

Modifications, additions, or omissions may be made to system 10 withoutdeparting from the scope of the disclosure. The components of system 10may be integrated or separated according to particular needs. Forexample, although separate functional blocks are shown for an issuer,payment processing network, and acquirer, some entities perform all ofthese functions and may be included in embodiments of invention.Moreover, the operations of system 10 may be performed by more, fewer,or other system modules. Additionally, operations of system 10 may beperformed using any suitable logic comprising software, hardware, otherlogic, or any suitable combination of the preceding.

II. Exemplary Mobile Communication Device

FIG. 2 is a schematic drawing of an exemplary mobile communicationdevice 30 in the form of a mobile phone, in accordance with anembodiment of the disclosure. The exemplary mobile communication device30 comprises a computer readable medium (CRM) 31 and a body 32. Computerreadable medium 31 may be present within body 32, or may be detachablefrom it. Body 32 may be in the form a plastic substrate, housing, orother structure. Computer readable medium 31 may be a memory that storesdata and may be in any suitable form including a magnetic stripe, amemory chip, etc. The memory preferably stores information such asfinancial information, transit information (e.g., as in a subway ortrain pass), access information (e.g., as in access badges), etc.Financial information may include information such as bank accountinformation, bank identification number (BIN), credit or debit cardnumber information, account balance information, expiration date,consumer information such as name, date of birth, etc. Any of thisinformation may be transmitted by mobile communication device 30.

Computer readable medium, or memory, may further comprise any suitablecode. In some embodiments, computer readable medium, or memory,comprises: a) code for receiving information from access device 42; b)code for sending information to an issuer 70; c) code for sendinginformation to payment processing network 60; d) code for receivinginformation from payment processing network 60; and/or e) code forreceiving information from issuer 70.

The exemplary mobile communication device 30 also includes a contactlesselement 33, which is typically implemented in the form of asemiconductor chip (or other data storage element) with an associatedwireless transfer (e.g., data transmission) element, such as an antenna.Contactless element 33 is associated with (e.g., embedded within) mobilecommunication device 30 and data or control instructions transmitted viaa cellular network may be applied to contactless element 33 by means ofa contactless element interface (not shown). The contactless elementinterface functions to permit the exchange of data and/or controlinstructions between the mobile device circuitry (and hence the cellularnetwork) and an optional contactless element 33.

Contactless element 33 is capable of transferring and receiving datausing a near field communications (“NFC”) capability (or near fieldcommunications medium) typically in accordance with a standardizedprotocol or data transfer mechanism (e.g., ISO 14443/NFC). Near fieldcommunications capability is a short-range communications capability,such as RFID, Bluetooth™, infra-red, or other data transfer capabilitythat can be used to exchange data between the mobile communicationdevice 30 and an interrogation device. Thus, the mobile communicationdevice 30 is capable of communicating and transferring data and/orcontrol instructions via both cellular network and near fieldcommunications capability.

The mobile communication device 30 may also include a processor 34(e.g., a microprocessor) for processing the functions of the mobilecommunication device 30 and a display 35 to allow a consumer to seephone numbers and other information and messages. The mobilecommunication device 30 may further include input elements 36 to allow aconsumer to input information into the device, a speaker 37 to allow theconsumer to hear voice communication, music, etc., and a microphone 38to allow the consumer to transmit her voice through the mobilecommunication device 30. The mobile communication device 30 may alsoinclude an antenna 39 for wireless data transfer (e.g., datatransmission).

Although FIG. 2 shows a number of components, mobile communicationdevice 30 according to embodiments of the invention may comprise anysuitable combination or subset of such components.

III. Exemplary Access Device

FIG. 3 is a block diagram of the basic components that may reside in anexemplary access device 42, in accordance with an embodiment of thedisclosure. An exemplary access device 53 may comprise a processor42(a). It may also comprise a computer readable medium 42(b), keypad42(c), a mobile communication device reader 42(d), an output device42(e), and a network interface 42(f), all operatively coupled to theprocessor 42(a). A housing may house one or more of these components.Exemplary mobile communication device readers can include RF (radiofrequency) antennas, magnetic stripe readers, etc. that interact withthe mobile communication device 30. Suitable output devices may includedisplay 44, other displays, and audio output devices. Exemplary computerreadable media may include one or more memory chips, disk drives, etc.

IV. Exemplary Method of Processing a Payment Transaction Using a MobileCommunication Device (e.g., a Mobile Phone) as a Relay

FIG. 4 is a flowchart illustrating a method of processing a paymenttransaction using a mobile communication device as a relay, inaccordance with an embodiment of the disclosure.

The method begins by mobile communication device 30 receivingtransaction information from merchant 40 (step 100). Consumer 20 mayinteract the mobile communication device 30 with access device 42 atmerchant 40 to initiate the transmission of the transaction information.In some cases, the information may be sent in the form of a message tomobile communication device 30.

In one embodiment, mobile communication device 30 receives theinformation from merchant 40 by reading the information from display 44on access device 42. Mobile communication device 30 can have anysuitable device for reading the information from display 44. Forexample, mobile communication device 30 may have a camera which takes apicture image of display 44. Mobile communication device 30 or paymentprocessing network 60 may have optical character recognition softwarethat converts the image into transaction data. In another example,mobile communication device 30 may have a bar code reader that reads barcodes from display 44 to determine transaction information.

Consumer 20 operates mobile communication device 30 to communicate arequest to transmit transaction information to payment processingnetwork 60 along with information about the mobile communication device30 (e.g., a phone number). In the illustrated embodiment, paymentprocessing network 60 requires a PIN before allowing information to bereceived at payment processing network 60. Consumer 20 enters a PIN intomobile communication device 30 or another device in communication withpayment processing network 60 (step 105). Payment processing network 60authenticates consumer 20 with the PIN and the information about themobile communication device 30 and authorizes the transmission oftransaction information.

After receiving authorization to send the transmission, mobilecommunication device 30 sends an authorization request message topayment processing network 60 with the transaction information andinformation associated with the mobile communication device 30 (step110). In the illustrated embodiment, payment processing network 60either: a) authorizes the transaction on behalf of issuer 70, or b)forwards the authorization request message to issuer 70 to authorize thetransaction.

If issuer 70 is authorizing the transaction, payment processing network60 forwards the authorization request message to issuer 70 (step 120).Issuer 70 processes the authorization request message to determinewhether to authorize or decline the transaction (step 130). Once issuer70 decides whether to authorize or decline the transaction, issuer 70sends an authorization response message to payment processing network 60indicating that the transaction is authorized (or is declined) (step140).

If payment processing network 60 is authorizing the transaction, paymentprocessing network 60 processes the authorization request message todetermine whether to authorize or decline the transaction (step 150).Payment processing network 60 determines whether more information isrequired to make the decision to authorize or decline (step 160).

If more information is required, payment processing network 60,communicates a request for more information to mobile communicationdevice 30 and receives a response with new information from consumer 20through mobile communication device 30 (step 170). The paymentprocessing network 60 processes the new information from consumer 20(step 150).

If payment processing network 60 can make the decision to authorize ordecline and does not need more information from consumer 20, paymentprocessing network 60 sends an authorization response message toacquirer 50 indicated that the transaction is authorized (or declined)(step 180). Acquirer 50 forwards the authorization response message tomerchant 40 (step 190) and the method ends (step 200).

In some embodiments, access device 42 receives information from consumer20. In one case, access device 42 may receive information directly fromconsumer 20 such as identification information from an identificationcard (e.g., driver's license) to authenticate the consumer to themerchant 40. In another case, access device 42 may receive informationfrom consumer 20 through a payment card interacting with access device42. In yet another case, access device 42 may receive information fromconsumer 20 through a mobile communication device 30 interacting withaccess device 42.

In one embodiment where access device 42 receives information fromconsumer 20, access device 42 receives information from a payment cardwhen consumer 20 initiates a transaction with merchant 49 using apayment card. For example, consumer 20 may swipe the payment cardthrough an appropriate slot of a cardreader of access device 42 so thatthe access device 42 can read information from the payment card. Theinformation received by access device 42 from the payment card caninclude any suitable type of information related to payment cards suchas an account number, issuer name, consumer name, and other informationrelated to the payment card. The information may be encrypted. Accessdevice 42 sends this information back to the mobile communication device30 along with transaction information such as the amount of thetransaction and a merchant ID or POS terminal ID. Mobile communicationdevice 30 forwards this information directly to payment processingnetwork 60 or through merchant 40 and acquirer 50 back to paymentprocessing network 60. This information can be used to process thetransaction.

In another embodiment where access device 42 receives information fromconsumer 20, access device 42 receives information from mobilecommunication device 30 when consumer 20 interacts the mobilecommunication device 30 with access device 42. For example, consumer 20may initiate a transaction by causing the mobile communication device 30to pass by a contactless reader of the access device 42 so that theaccess device 42 can read information from mobile communication device30. Some information that could be received includes an identifier suchas a verification value, phone number, or SIM card number from themobile communication device 30. Access device 42 sends this informationback to the mobile communication device 30 along with transactioninformation such as the amount of the transaction and a merchant ID orPOS terminal ID. Mobile communication device 30 forwards thisinformation directly to payment processing network 60 or throughmerchant 40 and acquirer 50 back to payment processing network 60. Thisinformation can be used to authenticate the transaction since itindicates that the mobile communication device 30 and access device 42were interacting during the transaction.

In one embodiment, merchant 40 may sign the transaction or otherwisecreate an electronic signature. The electronic signature is sent alongwith other transaction information to mobile communication device 30.The electronic signature may be used to authorize the transaction.

In many embodiments of the disclosure, merchant 30 does not need toreceive any payment information or other identity information fromconsumer 30. In one exemplary embodiment, merchant 40 generatestransaction information including the items in the transaction andincluding a transaction code associated with the transaction. Thetransaction can be of any suitable type such as a mail order, phonetransaction, or in-store purchase. Mobile communication device 30receives the transaction code from the merchant 30. The transaction codecan be provided to mobile communication device 30 via the access device42, through a phone call, through the Internet, or by other suitablemethod. Consumer 20 sends the transaction code (which may be inalphanumeric form) and payment information to server computer 60(a) ofpayment processing network 60 using mobile communication device 30. Thetransaction code may be permanent or temporary. The latter is desirable,since they temporary codes can be reused and are of little value if theyare intercepted. Merchant 30 also sends the transaction informationincluding the items in the transaction and the transaction code topayment processing network 60. Server computer 60(a) of paymentprocessing network 60 can link the transaction information regarding theitems in the transaction from merchant 30 to the payment information(e.g., a BIN) associated with the mobile communication device 30. Then,the server computer 60(a) may forward the combined information to theissuer 70 as previously described.

Modifications, additions, or omissions may be made to the method withoutdeparting from the scope of the disclosure. The method may include more,fewer, or other steps. Additionally, steps may be performed in anysuitable order without departing from the scope of the disclosure.

V. Exemplary Displays on Access Device and Mobile Communication Device

FIG. 5A is an illustration depicting an exemplary display 44 on anaccess device 42 at merchant 40, in accordance with an embodiment of thedisclosure. Display 44 includes a merchant ID at the top of the displayassociated with merchant 40. Payment processing network 60 and/or issuer70 can use merchant ID to identify merchant 40. Display 44 also includesa list of four items, the prices associated with each item, and the SKUnumber associated with each item. In addition, display 44 also includesthe total amount of the transaction. Any of this information may passfrom the access device 42 to the mobile communication device asdescribed above.

Other embodiments of display may include other suitable informationassociated with the transaction or merchant 40. Some examples of othersuitable information include an access device ID.

In addition, other embodiments of display 40 may display transactioninformation and other information in other ways. For example, a portionof the transaction information on display 44 may be represented by barcodes. The bar codes can be read by a bar code reader. As anotherexample, a portion of the transaction information on display 44 may begraphics.

FIG. 5B is an illustration depicting an exemplary display 35 on a mobilecommunication device 30, in accordance with an embodiment of thedisclosure. Display 35 includes a portion of the transaction informationsent from the exemplary access device 42 in FIG. 5A. Display 35 includesthe list of four items, the prices associated with each item, and thetotal amount of the transaction. Display 35 also includes a request fora PIN number. In this embodiment, payment processing network 60 requiresthat consumer 20 enter a PIN before the transmission of the transactioninformation shown on display 35 will be received by payment processingnetwork 60.

VII. Computer Apparatuses

FIG. 6 shows a block diagram of subsystems that may be present incomputer apparatuses that are used in system 10, according toembodiments of the invention. For example, server computers 60(a) and70(a) may use any suitable combination of components in FIG. 6.

The various participants and elements in the previously describedFigures may operate using one or more computer apparatuses to facilitatethe functions described herein. Any of the elements in the Figures mayuse any suitable number of subsystems to facilitate the functionsdescribed herein. Examples of such subsystems or components are shown ina FIG. 6. The subsystems shown in FIG. 6 are interconnected via a systembus 575. Additional subsystems such as a printer 574, keyboard 578,fixed disk 579 (or other memory comprising computer readable media),monitor 576, which is coupled to display adapter 582, and others areshown. Peripherals and input/output (I/O) devices, which couple to I/Ocontroller 571, can be connected to the computer system by any number ofmeans known in the art, such as serial port 577. For example, serialport 577 or external interface 581 can be used to connect the computerapparatus to a wide area network such as the Internet, a mouse inputdevice, or a scanner. The interconnection via system bus allows thecentral processor 573 to communicate with each subsystem and to controlthe execution of instructions from system memory 572 or the fixed disk579, as well as the exchange of information between subsystems. Thesystem memory 572 and/or the fixed disk 579 may embody a computerreadable medium. Any of these elements may be present in the previouslydescribed features. For example, the previously described directoryserver and access control server may have one or more of thesecomponents shown in FIG. 6.

A computer readable medium according to an embodiment of the inventionmay comprise code for performing any of the functions described above.For example, the previously described server computers 60(a), 70(b) maycomprise a computer readable medium comprising code for receivingtransaction information associated with a transaction from a mobilecommunication device, wherein the mobile communication device receivedthe transaction information from a merchant; and code for sending thetransaction information to an issuer associated with the mobilecommunication device.

It should be understood that the present invention as described abovecan be implemented in the form of control logic using computer softwarein a modular or integrated manner. Based on the disclosure and teachingsprovided herein, a person of ordinary skill in the art will know andappreciate other ways and/or methods to implement the present inventionusing hardware and a combination of hardware and software.

Any of the software components or functions described in thisapplication, may be implemented as software code to be executed by aprocessor using any suitable computer language such as, for example,Java, C++ or Perl using, for example, conventional or object-orientedtechniques. The software code may be stored as a series of instructions,or commands on a computer readable medium, such as a random accessmemory (RAM), a read only memory (ROM), a magnetic medium such as ahard-drive or a floppy disk, or an optical medium such as a CD-ROM. Anysuch computer readable medium may reside on or within a singlecomputational apparatus, and may be present on or within differentcomputational apparatuses within a system or network.

A recitation of “a”, “an” or “the” is intended to mean “one or more”unless specifically indicated to the contrary.

The above description is illustrative and is not restrictive. Manyvariations of the disclosure will become apparent to those skilled inthe art upon review of the disclosure. The scope of the disclosureshould, therefore, be determined not with reference to the abovedescription, but instead should be determined with reference to thepending claims along with their full scope or equivalents.

One or more features from any embodiment may be combined with one ormore features of any other embodiment without departing from the scopeof the disclosure.

All patents, patent applications, publications, and descriptionsmentioned above are herein incorporated by reference in their entiretyfor all purposes. None is admitted to be prior art.

1. A method comprising: receiving transaction information associatedwith a transaction at a mobile communication device from a merchant; andsending the transaction information from the mobile communication deviceto an issuer associated with the mobile communication device, whereinsending the transaction information from the mobile communication deviceto the issuer includes sending the transaction information to a paymentprocessing network, wherein the payment processing network, not themerchant network, generates an authorization request message includingat least some of the transaction information and sends the authorizationrequest message to the issuer, wherein the issuer thereafter sends anauthorization response message to the merchant.
 2. The method of claim1, further comprising: receiving a PIN from a consumer; and in responseto receiving the PIN, sending a request to the merchant for thetransaction information.
 3. The method of claim 1, wherein the merchantis an e-commerce business.
 4. The method of claim 1, wherein receivingtransaction information associated with the transaction comprisesreading the transaction information from a display on an access deviceusing a camera.
 5. A non-transitory computer readable medium, comprisingcode, executable by a processor, for implementing a method comprising:receiving transaction information associated with a transaction at amobile communication device from an access device at a merchant; andsending the transaction information from the mobile communication deviceto an issuer associated with the mobile communication device, whereinthe sending the transaction information from the mobile communicationdevice to the issuer includes sending the transaction information to apayment processing network, wherein the payment processing network, notthe merchant network, generates an authorization request messageincluding at least some of the transaction information and sends theauthorization request message to the issuer, wherein the issuerthereafter sends an authorization response message to the merchant.
 6. Aphone, comprising: a computer readable medium comprising code,executable by a processor, for implementing a method comprisingreceiving transaction information associated with a transaction from amerchant and sending the transaction information to an issuer associatedwith the mobile communication device, wherein sending the transactioninformation from the mobile communication device to the issuer includessending the transaction information to a payment processing network,wherein the payment processing network, not the merchant network,generates an authorization request message including at least some ofthe transaction information and sends the authorization request messageto the issuer, wherein the issuer thereafter sends an authorizationresponse message to the merchant; and the processor in communicationwith the computer readable medium.
 7. The phone of claim 6, furthercomprising a display showing at least some of the transactioninformation.
 8. A method comprising: receiving transaction informationassociated with a transaction from a mobile communication device,wherein the mobile communication device received the transactioninformation from a merchant; sending the transaction information to anissuer associated with the mobile communication device, wherein sendingthe transaction information to the issuer includes sending thetransaction information to a payment processing network, wherein thepayment processing network, not the merchant network, generates anauthorization request message including at least some of the transactioninformation and sends the authorization request message to the issuer;receiving an authorization response message from the issuer; and sendingthe authorization response message to the merchant.
 9. The method ofclaim 8, further comprising: receiving a PIN from a consumer; and inresponse to receiving the PIN, sending a request from the mobilecommunication device to the merchant for the transaction information.10. The method of claim 8, wherein the merchant is an e-commercebusiness.
 11. The method of claim 8, wherein the mobile communicationdevice received the transaction information associated with thetransaction by reading the transaction information from a display on anaccess device using a camera.
 12. A non-transitory computer readablemedium, comprising code, executable by a processor, for implementing amethod comprising: receiving transaction information associated with atransaction from a mobile communication device, wherein the mobilecommunication device received the transaction information from amerchant; sending the transaction information to an issuer associatedwith the mobile communication device, wherein sending the transactioninformation to the issuer includes sending the transaction informationto a payment processing network, wherein the payment processing network,not the merchant network, generates an authorization request messageincluding at least some of the transaction information and sends theauthorization request message to the issuer; receiving an authorizationresponse message from the issuer; and sending the authorization responsemessage to the merchant.
 13. A server computer comprising anon-transitory computer readable medium comprising code, executable by aprocessor, for implementing a method comprising: receiving transactioninformation associated with a transaction from a mobile communicationdevice, wherein the mobile communication device received the transactioninformation from a merchant; sending the transaction information to anissuer associated with the mobile communication device, wherein thesending the transaction information to the issuer includes sending thetransaction information to a payment processing network, wherein thepayment processing network, not the merchant network, generates anauthorization request message including at least some of the transactioninformation and sends the authorization request message to the issuer;receiving an authorization response message from the issuer; and sendingthe authorization response message to the merchant.
 14. A methodcomprising: receiving transaction information associated with atransaction at a mobile communication device from a merchant;translating the transaction information into a form that is compatiblewith a payment processing network, wherein the payment processingnetwork, not the merchant network, is in communication with an issuer;and sending the translated transaction information from the mobilecommunication device to the payment processing network, wherein theissuer thereafter sends an authorization response message to themerchant.
 15. The method of claim 14, further comprising: receiving aPIN from a consumer; and in response to receiving the PIN, sending arequest to the merchant for the transaction information.
 16. The methodof claim 14, wherein the merchant is an e-commerce business.
 17. Themethod of claim 14, wherein receiving transaction information associatedwith the transaction comprises reading the transaction information froma display on an access device using a camera.
 18. A non-transitorycomputer readable medium, comprising code, executable by a processor,for implementing a method comprising: receiving transaction informationassociated with a transaction at a mobile communication device from amerchant; translating the transaction information into a form that iscompatible with a payment processing network, wherein the paymentprocessing network, not the merchant network, is in communication withan issuer; and sending the translated transaction information from themobile communication device to the payment processing network, whereinthe issuer thereafter sends an authorization response message to themerchant.
 19. A phone, comprising: a processor; a computer readablemedium comprising code executable by the processor, for implementing amethod comprising receiving transaction information associated with atransaction at a mobile communication device from a merchant,translating the transaction information into a form that is compatiblewith a payment processing network, wherein the payment processingnetwork, not the merchant network, is in communication with an issuer,and sending the translated transaction information to the paymentprocessing network, wherein the issuer thereafter sends an authorizationresponse message to the merchant.
 20. The phone of claim 19, furthercomprising a display showing at least some of the transactioninformation coupled to the processor.
 21. The method of claim 1, whereinthe issuer sends an authorization response message to the merchant. 22.The method of claim 21, wherein the sending of transaction informationto the issuer from the mobile communication device uses SMS or MMS. 23.The method of claim 21, wherein the merchant displays the authorizationresponse message on a display of an access device.
 24. The method ofclaim 1, wherein an account is linked to a phone number associated withthe mobile communication device.
 25. The phone of claim 6, furthercomprising: sending account information to the issuer, wherein theaccount information identifies an account associated with a consumer atthe issuer and wherein the phone does not send account information tothe merchant.